Citi downgrades ASX-listed a2 Milk rating on supply chain concerns

A2 Milk

13/04/2026 21:30

** Analysts at Citi downgrade ASX-listed shares of a2 Milk Company a2M.AX to "neutral"

** a2M faces supply chain constraints largely beyond its control, but strong demand still remains, brokerage says

** Citi says these supply chain constraints are leading to lost sales and higher costs for a2M

** Sees a risk that supply chain issues may persist longer than expected, making it difficult for a2M to regain customers even if the issues are resolved

** 6 of 9 brokerages rate the stock "buy" or higher, while 3 rate it at "hold"; their median PT is A$9.60 - LSEG data

** Stock fell 12.7% YTD, as of last close

(Reporting by Sruthi Narasimha Chari in Bengaluru)

((Sruthinarasimha.chari@thomsonreuters.com))